For the last few years numerous Canadian businesses have been struggling. What with the recent recession plus currency volatility, it has been hard for some companies to stay afloat. Yet certain industries appear to be flourishing. Any entrepreneur, whether they have as their goal to start a new business aligned with market trends or whether it is to expand an existing company in the right direction, should be aware of which industries are growing the fastest.
Construction and associated markets
While some of industries in Canada are still walking on broken glass in the wake of a troubled global economy, sectors linked to construction are still going strong due to high demand. Figures suggest that construction in Canada has more than doubled over the past decade. Infrastructure, the mainstay of Canadian construction will continue to grow as will commercial and residential construction. However other industries linked to construction are also doing extremely well; this includes real-estate agents and brokers, residential builders, foundation contractors, architecture and engineering services plus lumber wholesalers. Furthermore, this has allowed for the creation of lucrative opportunities for other industries that provide supplies, distribution or back-office services.
The Tech Industry
Although not widely touted as such, Canada’s technology industry is one of the strongest in the world. The Government's Canadian Startup Visa program, which brings in new tech companies from all over the world, ensures that the tech industry is only going to continue to grow. Sectors such as digital media, wireless infrastructure, E-commerce, and general Internet services are blooming. Entrepreneurs should be aware that the majority of Canada’s fastest growing tech companies have one thing in common: they’re B2B rather than B2C oriented. Why is this? Because of the higher cost of marketing in the consumer marketplace. Businesses tend to go for the best technology, especially if there is value-add. However, many tech companies have chosen to diversify so they can tap into the best of both worlds. Furthermore, computer systems, design companies and management consulting services are often involved in other business’ efforts to adopt new technology and novel tech strategies in order to boost sales or productivity. Their sales have increased and since they’re in the service business, they don’t have to invest in a lot of equipment or hire lots of employees before they can start bringing in revenue.
Specialty Food and Agriculture
Other industries that have done well involve food, a need which the public will always have. Specialty food stores, such as organic or regional products, are in high demand. Agriculture, in particular farmers of oilseeds and grains, has made surprising profits. Canada continues to be one of the largest suppliers of agricultural products in the world. The reason for this success story is partly attributable to Canada's strategic location, allowing it to export most of its crops to America but also have access to emerging markets further south. Prices for agricultural products have increased substantially thanks to increasing demand growth, driven largely by rapid population and income growth especially in emerging markets.